While the U.S. languishes in drought, farmers in Western Canada are knee-deep in rainfall. The CBC reports that nearly five million hectares of Canadian prairie will be too wet to support crops. Heavy rainfall in May and June of this year made it impossible for some farmers in Western Canada to get out into the fields and plant. By now, the time to plant has passed and Canadian officials are saying the deficit may affect the Province's GDP by up to two percentage points.
Growers with crops in the field are becoming concerned that the subsequent humidity, which has been extraordinarily high this year, will allow fungus to flourish. Herbicide applications are coming to a close, but farmers looking to cash in on U.S. drought-year prices are quick to apply fungicides. Canada still enjoys a grain surplus on the heels of two years of bumper crop harvests so grain prices will find their ceiling -- but Canadian growers who got their seeds in the ground early are wise to take whatever measures necessary to see their crop to harvest.